Finnish mobile games behemoth Rovio, best known as the team behind Angry Birds, saw a 73 percent drop in profit in 2014, according to the company's latest financial results.
The company experienced a fall in sales by 9 percent, as operating profit slumped to just over $10 million from $38 million. Despite the drop, revenue from mobile games grew by 16 percent to $119 million (€110.7 million).
Rovio will see its Angry Birds franchise expand as an animated film, scheduled to launch in May 2016. According to company CEO Pekka Rantala, production cost on the film is roughly $80 million, while marketing costs — paid in part by Sony Entertainment — will total more than its production budget.
"The movie will help us get the licensing business back to growth," he said. "Pretty soon we will be able to publish new major partnership deals." The company is currently planning to create new characters and expand into new games, products and animation, he adds. "We are still in transition, we have launched free-to-play games but there is room to improve the monetizing in this area," Rantala said.
Animation veterans Clay Katis (Wreck-It Ralph) and Fergal Reilly (The Smurfs) are co-directing Angry Birds. The film is being written by Jon Vitti (The Simpsons), and will center on a furious flock of three: Red (Jason Sudeikis, Horrible Bosses), the swift Chuck (Josh Gad, Jobs) and their explosive friend Bomb (Danny McBride, Eastbound & Down).